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Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22
(a) he opts old scheme
(b) he opts new scheme?
(a) he opts old scheme
(b) he opts new scheme?
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Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other...
Tax Computation for Mr. Z
To compute Mr. Z's tax liability for the Assessment Year 2021-22, we need to evaluate his total income under both the old and new tax schemes.
Total Income Breakdown
- Total Income (other than agriculture): Rs. 320,000
- Agriculture Income: Rs. 250,000
- LT Capital Gain: Rs. 30,000
- Winning from Horse Races: Rs. 20,000
- STCG covered under section 111A: Rs. 10,000
Total Income Calculation
Under the old scheme, the total taxable income includes all components except for the agricultural income, which is exempt up to Rs. 100,000.
- Total Taxable Income = Rs. 320,000 + Rs. 30,000 + Rs. 20,000 + Rs. 10,000
- Total Taxable Income = Rs. 380,000
Tax Liability Under the Old Scheme
- Tax on Rs. 380,000:
- Up to Rs. 2,50,000: Nil
- Rs. 2,50,001 to Rs. 5,00,000: 5% on Rs. 130,000 = Rs. 6,500
- Total Tax = Rs. 6,500
- Add 30% for STCG and winnings: Rs. 3,000 (on Rs. 10,000 and Rs. 20,000)
- Total Tax Liability = Rs. 9,500
Tax Liability Under the New Scheme
The new scheme does not allow most deductions and has different tax rates:
- Taxable Income remains Rs. 380,000.
- Tax Calculation:
- Up to Rs. 2,50,000: Nil
- Rs. 2,50,001 to Rs. 5,00,000: 5% on Rs. 130,000 = Rs. 6,500
- Tax on STCG (Rs. 10,000) = Rs. 3,000
- Tax on Winnings (Rs. 20,000) = Rs. 6,000 (30%)
- Total Tax Liability = Rs. 15,500
Summary
- **Old Scheme Tax Liability:** Rs. 9,500
- **New Scheme Tax Liability:** Rs. 15,500
Mr. Z should opt for the old scheme to minimize his tax liability.
To compute Mr. Z's tax liability for the Assessment Year 2021-22, we need to evaluate his total income under both the old and new tax schemes.
Total Income Breakdown
- Total Income (other than agriculture): Rs. 320,000
- Agriculture Income: Rs. 250,000
- LT Capital Gain: Rs. 30,000
- Winning from Horse Races: Rs. 20,000
- STCG covered under section 111A: Rs. 10,000
Total Income Calculation
Under the old scheme, the total taxable income includes all components except for the agricultural income, which is exempt up to Rs. 100,000.
- Total Taxable Income = Rs. 320,000 + Rs. 30,000 + Rs. 20,000 + Rs. 10,000
- Total Taxable Income = Rs. 380,000
Tax Liability Under the Old Scheme
- Tax on Rs. 380,000:
- Up to Rs. 2,50,000: Nil
- Rs. 2,50,001 to Rs. 5,00,000: 5% on Rs. 130,000 = Rs. 6,500
- Total Tax = Rs. 6,500
- Add 30% for STCG and winnings: Rs. 3,000 (on Rs. 10,000 and Rs. 20,000)
- Total Tax Liability = Rs. 9,500
Tax Liability Under the New Scheme
The new scheme does not allow most deductions and has different tax rates:
- Taxable Income remains Rs. 380,000.
- Tax Calculation:
- Up to Rs. 2,50,000: Nil
- Rs. 2,50,001 to Rs. 5,00,000: 5% on Rs. 130,000 = Rs. 6,500
- Tax on STCG (Rs. 10,000) = Rs. 3,000
- Tax on Winnings (Rs. 20,000) = Rs. 6,000 (30%)
- Total Tax Liability = Rs. 15,500
Summary
- **Old Scheme Tax Liability:** Rs. 9,500
- **New Scheme Tax Liability:** Rs. 15,500
Mr. Z should opt for the old scheme to minimize his tax liability.
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Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme?
Question Description
Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme?.
Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme?.
Solutions for Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? in English & in Hindi are available as part of our courses for B Com.
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Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme?, a detailed solution for Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? has been provided alongside types of Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? theory, EduRev gives you an
ample number of questions to practice Total income of Mr.'Z' is 320000 for the previous year 2020-2021 other than agriculture income .Agriculture income is rupees 250000.Total income include LT CG of rupees 30000,winning of horse races rupees 20000 and STCG covered u/a 111A rs 10000. Compute his tax liability for the A.Y.2021-22(a) he opts old scheme(b) he opts new scheme? tests, examples and also practice B Com tests.
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